Capital Markets Union (CMU)

Introduction

FEPS, in collaboration with Fundación Alternativas, Bristol Business School of the University of West of England and the Danish Institute for International Studies have set up a research with the aim to contribute, with policy-oriented research, to the on-going debates about the finance-growth nexus in Europe. It builds on the observation that as its core, the Capital Markets Union seeks to address a paradox: a world structurally awash in excess capital that does not make its way into long-term productive investment.

The project will provide a careful, multi-layers analysis of the Capital Markets Union agendas, focusing on three distinctive areas:

  1. The capacity of market-based finance to channel long-term investment;
  2. The potential synergies and conflicts between financial markets integration and financial stability, and
  3. The reform of shadow banking

This project aims to answer the following research questions:

  • How can the Capital Market Union (CMU) plans contribute to growth in Europe?
  • How will the CMU plans reconcile the potential conflics between financial integration and financial stability?
  • How CMU plans impact shadow banking (reform) in Europe?

Principal Investigators

Dr Daniela Gabor, University of the West of England

Dr Jakob Vestergaard, Danish Institute for International Studies


Research and policy related output

Thiemman, M. Capital Markets Union and the threat of regulatory competition. FEPS Study. September 2016

Gabor, D., Vestergaard, J. Capital markets union and the free flow of collateral. FEPS Study. September 2016 

Engelen, E. Glasmacher, "A. Simple, Transparent and Standardized": Narratives, Law and the Interest Coalitions behind the European Commission's Capital Markets Union. FEPS Study. September 2016.

Bavoso, V. Simple, Transparent and Standardised Securitisation: Business as usual? FEPS Study. September 2016

Braun, B. The financial consequences of Mr. Draghi? FEPS Study. September 2016

Hübner, M. (2016) Securitisation to the Rescue. FEPS study. September 2016 

Gabor, D. and Vestergaard, J. (2015) Putting the Capital Markets Union on sustainable foundations. FEPS Policy Viewpoint, October 2015

Fernandez, R. (2015) Shadow banking and European offshore financial centres: the blind spot in EU policy debate. FEPS Policy Brief, April 2015

Gabor, D. and Vestergaard, J. (2015) Capital Markets Union: the systemic issues buried deep in the markets infrastructure plan. FEPS Policy Breif, April 2015

Thiemman, M. (2015) Capital Markets Union: how to achieve risk diversification through standardized securitization. FEPS Policy Breif, April 2015


Seminars and Roundtable Discussions

Progressive Economy and FEPS: Workshop on Capital Markets Union. Programme and Presentations. September 2015

Capital Markets Union Challenges and Risks. Roundtable. May 2015

Light and shade of the banking union and the new european financial architecture. February 2015. Organised by FEPS and Fondazione ItalianiEuropei. 


Selected Background Material

Banking Union: a response to Europe’s fragile financial integration dreams? Policy Brief N.3. Gabor, D. (2014)

In the Shadow of Basel. How Competitive Politics Bred the Crisis. Thiemann, M. (2013)

Regulating the off-balance sheet exposure of banks: A comparison pre- and post-crisis. Thiemann, M. (2011)